2026-10-16 · 1 min read

Par Levels and Reorder Points for Restaurants Explained

What par levels and reorder points are, how to calculate them from real usage and lead time, and how to stop both stockouts and over-ordering.

Par levels and reorder points are the two numbers that turn ordering from memory into a routine.

What they mean

• Par level: the quantity you want on hand right after a delivery.
• Reorder point: the quantity at which you place an order. When stock falls to this level, order.
• Safety stock: a buffer for delays and busy days.

The reorder point formula

Reorder point = average daily usage x supplier lead time in days + safety stock

Example: you use 6 kg of chicken a day. Your supplier delivers in 2 days. You keep 6 kg as a buffer for a busy weekend.

• Reorder point = 6 x 2 + 6 = 18 kg

When the count reaches 18 kg, order. If your par level is 40 kg, order up to 40 kg minus what is on hand.

Where to get average usage

Use stock movements, not sales guesses: opening stock plus deliveries minus closing stock, divided by days. Use the last four to eight weeks and look at weekdays and weekends separately.

Common mistakes

1. One par for every day. Friday is not Tuesday. Use a higher level before busy days.
2. Ignoring shelf life. A big par on a three-day product is just future waste.
3. Never reviewing. Menus, seasons and events change usage. Review pars monthly.
4. Ordering from memory. Memory forgets the item you did not look at.

Let usage set the suggestion

DineTide calculates usage from your counts and movements, flags items below their reorder point, and builds a purchase order draft from the supplier's price and pack size. You review and send. See purchasing or book a demo.